Teva Pharmaceutical Industries Ltd. (TEVA - Free Report) closed the most recent trading day at $21.45, moving +0.85% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.04%. At the same time, the Dow added 0.26%, and the tech-heavy Nasdaq lost 0.48%.
Prior to today's trading, shares of the company had lost 14.34% over the past month. This has lagged the Medical sector's loss of 3.8% and the S&P 500's loss of 4.53% in that time.
Wall Street will be looking for positivity from TEVA as it approaches its next earnings report date. This is expected to be November 1, 2018. The company is expected to report EPS of $0.55, down 45% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $4.57 billion, down 18.51% from the prior-year quarter.
TEVA's full-year Zacks Consensus Estimates are calling for earnings of $2.79 per share and revenue of $18.91 billion. These results would represent year-over-year changes of -30.42% and -15.52%, respectively.
It is also important to note the recent changes to analyst estimates for TEVA. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.66% higher within the past month. TEVA is currently a Zacks Rank #3 (Hold).
Looking at its valuation, TEVA is holding a Forward P/E ratio of 7.62. Its industry sports an average Forward P/E of 11.57, so we one might conclude that TEVA is trading at a discount comparatively.
Investors should also note that TEVA has a PEG ratio of 1.69 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Medical - Generic Drugs stocks are, on average, holding a PEG ratio of 1.04 based on yesterday's closing prices.
The Medical - Generic Drugs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 196, which puts it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.